Allens project financing team advised on the transaction
Located in Kurnell, the desalination plant is one of the largest in the world and is fully powered by renewable energy. It has a nameplate capacity of 250 million litres a day.
Completion of the refinancing was achieved in parallel with the conversion of the existing finance documentation structure from a syndicated facility agreement to a common terms deed platform.
The new documentation platform allowed SDP to achieve its key objective of diversifying the sources and maturity profile of its debt, which was sourced from traditional short-term bank debt to medium-term bank debt and Samurai debt financing.
The transaction reflects the continuing trend of stretching debt tenors for operating projects in the Australian market, with the Samurai debt financing achieving a tenor of 11 years.
Sydney Desalination Plant Pty Limited provides water and water security services to the Sydney metropolitan area. It produces and supplies drinking water to approximately 1.5 million people. The company, led by Keith Davies and Justin De Lorenzo, operates as a subsidiary of SDP Holdco Pty Ltd.
Allens advised with a team including Michael Ryan (Picture – Project Finance), Lisa Zhou (Managing Associate), Dana Harel (Associate), Rujuta Natu (Lawyer)
Law Firms: Allens;
Clients: Sydney Desalination Plant Pty Limited;